Grayscale Research believes several DeFi-focused cryptocurrencies are trading below their intrinsic value.
For the researcher, Aave (AAVE), Uniswap (UNI), and Hyperliquid (HYPE) stand out as some of the most attractive opportunities in 2026.
The asset manager argues that many crypto assets can now be analyzed using conventional financial tools.
As crypto markets continue to recover from a difficult start to 2026, Grayscale Research believes investors may be overlooking some of the sector’s most fundamentally attractive opportunities.
In a new report examining how traditional valuation frameworks can be applied to digital assets, the asset manager highlighted several decentralized finance (DeFi) protocols that appear undervalued relative to their revenue generation, earnings potential, and long-term growth prospects.
Among the names that stood out were Aave (AAVE), Uniswap (UNI), and Hyperliquid (HYPE), which Grayscale identified as some of the strongest value opportunities in the current market environment.
The firm’s analysis comes amid a broader shift in crypto investing, with institutional participants increasingly focusing on cash flows, profitability, and token value accrual rather than purely speculative narratives.
According to Grayscale, the next phase of crypto market maturation will likely favor protocols capable of translating real economic activity into sustainable token-holder value.
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Grayscale argues that investors should not value all crypto assets through the same framework. While assets such as Bitcoin derive value primarily from scarcity, adoption, and their role as digital commodities, many DeFi tokens increasingly resemble financial claims tied to the performance of underlying protocols.
The report notes that DeFi has evolved into one of the crypto industry’s largest revenue-generating sectors, producing nearly $25 billion in cumulative fees since the beginning of 2023.
Lending platforms, decentralized exchanges, derivatives protocols, and liquid staking applications now generate recurring revenues that can be analyzed in the same way as traditional financial businesses.
Structural differences between commodities and financial claims. | Credit: Grayscale Research
This evolution has prompted Grayscale to apply valuation methods commonly used in equities and fintech companies, including discounted cash flow (DCF) analysis, earnings multiples, and comparable company analysis.
The firm’s central argument is that protocol revenues alone are not enough. Investors must also evaluate whether those revenues ultimately accrue to token holders through mechanisms such as buybacks, staking rewards, burns, treasury allocations, or governance-controlled capital returns.
Protocols that successfully connect business performance with token-holder value are increasingly attracting institutional attention as crypto markets mature.
Why Grayscale Sees Value in AAVE, UNI, and HYPE
Aave emerged as the centerpiece of Grayscale’s research. The decentralized lending giant remains the largest player in on-chain credit markets, benefiting from growing demand for stablecoins, tokenized real-world assets, and decentralized borrowing services.
Despite recent challenges, including temporary disruptions following the rsETH exploit and related market volatility, Grayscale estimates that Aave could generate approximately $60 million in earnings in 2026.
Based on traditional fintech valuation multiples, the firm believes AAVE’s fair value currently ranges from $80 to $100 per token, above its recent trading level of $75.
Price multiples across DeFi lending cohort show market maturation. | Credit: Grayscale Research
Under a more optimistic scenario driven by regulatory clarity and accelerating adoption of tokenized assets, Grayscale suggests AAVE could reach approximately $175 over the next year.
Beyond Aave, the report highlights Hyperliquid (HYPE) and Uniswap (UNI) as part of a group of DeFi protocols exhibiting strong relative value. Both projects have benefited from growing user activity and increasingly transparent revenue models, making them attractive candidates for cash flow-based valuation frameworks.
Grayscale also pointed to other lending-focused protocols such as Sky and Maple as potentially attractive opportunities. However, it ranks Aave, Uniswap, and Hyperliquid among the strongest examples of value-driven crypto investments.
Institutional Adoption and Regulation Could Unlock Upside
A major theme throughout the report is the growing importance of regulatory clarity and institutional participation. Grayscale argues that many DeFi protocols continue to trade at discounted valuations compared to traditional financial and fintech companies due to lingering regulatory uncertainty.
The firm specifically said the proposed CLARITY Act was a potential catalyst.
If enacted, the legislation could provide a clearer framework for distinguishing decentralized network assets from traditional securities, reducing one of the largest obstacles facing institutional investors.
5/ Despite recent headwinds, we think @aave will earn ~$60 million in 2026
Typical fintech multiples (~20x-25x) would imply a current fair value market cap of $1.2bn-$1.5bn, or a token price of ~$80-$100 (compared to current market price of ~$75) pic.twitter.com/AC8du1NZg5
At the same time, structural trends such as stablecoin growth, real-world asset tokenization, and increasing institutional engagement with on-chain finance could significantly expand the addressable markets for leading DeFi protocols.
For Grayscale, these developments support a broader investment thesis: crypto markets are gradually shifting from narrative-driven speculation toward fundamental analysis.
As investors increasingly focus on revenue, earnings, and value accrual, protocols such as Aave, Uniswap, and Hyperliquid may be among the biggest beneficiaries.
Giuseppe Ciccomascolo began his career as an investigative journalist in Italy, where he contributed to both local and national newspapers, focusing on various financial sectors.
Upon relocating to London, he worked as an analyst for Fitch's CapitalStructure and later as a Senior Reporter for Alliance News. In 2017, Giuseppe transitioned to covering cryptocurrency-related news, producing documentaries and articles on Bitcoin and other emerging digital currencies. He also played a pivotal role in establishing the academy for a cryptocurrency exchange website. Crypto remained his primary area of interest throughout his tenure as a writer for ThirdFloor.
